externalities on each other through the influence of their debt policies on the common monetary policy. These imperfections can be …-contingent debt targets (to internalize the externalities due to decentralized fiscal policy). …

The present study puts forward a plan for solving the sovereign debt crisis in the euro area (EA) in line with the … significant part of the outstanding sovereign debt (at market prices) of the countries in the EA and convert it to zero …-coupon bonds. No transfers will take place between individual states; taxpayers in any EA country will not be involved in the debt …

This paper examines the analytical underpinnings of the standard micro portfolio approach to public debt management … of the debt portfolio itself, but also those related to primary borrowing requirements. The resulting broader cost …

sovereign debt crisis has fundamentally changed the rules of the game in sovereign debt markets, particularly in the euro area … seen dramatic downgrades of their sovereign debt ratings so that they face soaring risk spreads and unsustainably high …

governments fail to fully internalise the inflationary consequences of their debt policies. This results in excessive debt … prefer a stability pact which punishes excessive debt accumulation. With idiosyncratic shocks to the governments' budgets, an … pact corrects the average debt bias, inflation, which is attuned to the union-average debt level, is more stable. …